29 May 2017
Find out more

Goldman Sachs invest in Circle

30 April 2015  |  14270 views  |  1 Bitcoin

Circle, a consumer finance provider that allows users to make payments using digital currencies, has announced a new $50 million strategic investment round co-led by Goldman Sachs and IDG Capital Partners.

In addition to the investment round, Circle is expanding it's product offering beyond digital currencies, such as bitcoin,  and will give users the ability to hold, send and receive US dollars. Dollar account balances held by Circle customers are FDIC-insured.

Circle will handle instant conversion from dollars into bitcoin, and vice-versa, at the time of the payment.  According to a Circle blog, this allows customers to choose to view Bitcoin not as a new currency to replace the dollar, but as an Internet payment network that enables secure, instant, global and nearly free payments.

Goldman Sachs and China-based IDG Capital Partners were joined by all of Circle’s existing investors in the round, including Breyer Capital, General Catalyst Partners, Accel Partners, Oak Investment Partners, Fenway Summer, Digital Currency Group, Pantera Capital, and strategic individuals.

In a blog post, Circle states that the capabilities and captial brought by the new investment rouind will help them build a new kind of global consumer finance company, one based on open platforms, open source software, and ubiquitous mobile devices.

Tom Jessop, managing director in Goldman Sachs’ Principal Strategic Investments Group, says: “As the financial services industry continues to become more digital and open, we see significant opportunities in companies and solutions that have the promise to transform global markets through technical innovation. We think that Circle’s product vision and exceptional management team present a compelling opportunity in the digital payments space.”

The investment by China-based IDG Capital will enable Circle to expand its services to the chinese market. In addition to bitcoin and now the US dollar, the cCrcle platform will be expand to unclude the Chinese yaun, as well. . 

"Consumer finance is undergoing a profound transformation with the rise of mobile payment applications and a growing appetite for financial products from non-traditional providers. We feel that Circle is strongly positioned to capitalize on these trends. We are very excited about our investment and look forward to helping launch the company in the Chinese market where consumer adoption of innovative digital payment products is growing at a tremendous rate," says Quan Zhou, managing director of IDG Capital Partners and Circle board member.

Comments: (1)

A Finextra member
A Finextra member | 30 April, 2015, 14:19

Interesting article but far too many typos :/

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Circle adds NFC support to bitcoin app

Circle adds NFC support to bitcoin app

07 January 2015  |  7415 views  |  0 comments | 8 tweets | 4 linkedin
Circle bids to take bitcoin mainstream

Circle bids to take bitcoin mainstream

16 May 2014  |  7980 views  |  3 comments | 6 tweets | 3 linkedin
Former Swift CEO Schrank joins Circle funding round

Former Swift CEO Schrank joins Circle funding round

26 March 2014  |  5407 views  |  1 comments | 4 tweets | 4 linkedin

Related blogs

Create a blog about this story (membership required)
visit www.ebaday.comvisit www.events.sap.comvisit vasco.com/news/PSD2-compliant-solutions

Top topics

Most viewed Most shared
BBVA launches Open API marketplaceBBVA launches Open API marketplace
14170 views comments | 53 tweets | 81 linkedin
Bank/fintech collaboration can take transaction banking to new heightsBank/fintech collaboration can take transa...
8055 views comments | 12 tweets | 24 linkedin
R3 raises $107mR3 raises $107m
7553 views comments | 16 tweets | 16 linkedin
TransferWise launches multi-currency business bank accountsTransferWise launches multi-currency busin...
7365 views comments | 12 tweets | 21 linkedin

Featured job

Six Figure Base + Commission + Stock Options
London

Find your next job